Help to Save scheme take-up remains low with millions still missing out

New statistics published by HMRC today show 293,000 people currently have an open account with the Government’s Help to Save scheme. Due to a widening of eligibility to all working Universal Credit claimants, the number of people opening accounts has risen by around 53% year on year. While this is a welcome rise, up to 3 million more eligible households could still be missing out on a valuable opportunity to build a financial safety net.

Reacting to the latest statistics, StepChange Debt Charity is urging both the Government and consumers to take action to increase uptake of the scheme, which offers a 50% bonus on savings for eligible people on lower incomes – up to £1,200 over four years, completely tax-free.

The Help to Save scheme was launched in 2018 to help working people receiving certain means-tested benefits build financial resilience. Savers can deposit up to £50 a month and receive a government bonus worth 50p for every £1 saved.

After being extended several times, Help to Save has now been made permanent and eligibility for the scheme will be further widened from April 2028.

Ahead of UK Savings Week next week, StepChange is encouraging people to check if they’re eligible for the scheme.

Peter Tutton, Director of Policy, Research and Public Affairs at StepChange, said “Help to Save offers a valuable 50% government bonus to eligible savers, helping lower-income households build a financial safety net. However, take-up remains far too low, with up to three million eligible people missing out.

“While we welcomed the Government’s decision to make the scheme permanent and expand eligibility, many people do not realise they qualify, and even small, regular savings can be significantly boosted through the scheme.

“StepChange is calling for the Government to examine the merits of auto-enrolment for those eligible for the scheme.

“Our polling shows almost six in ten people (61%) receiving Universal Credit have no rainy-day savings at all, underlining the need for stronger action to help households build financial resilience.

“Many people simply do not realise they may be eligible. Anyone receiving Universal Credit should check whether they qualify, as even small, regular savings can be significantly boosted through the scheme.”